No Trailing Drawdown Prop Firm: Complete Guide to Static Drawdown [2025]

Finding a no trailing drawdown prop firm can make the difference between passing your evaluation and losing your account to a technicality. Trailing drawdown rules have cost countless traders their funded accounts—even profitable ones. One winning trade that retraces before you close it can violate your drawdown limit, ending your trading career with that firm. This complete guide explains everything you need to know about prop firms with static drawdown in 2025.

What is a No Trailing Drawdown Prop Firm?

A no trailing drawdown prop firm uses static (fixed) drawdown rules instead of trailing ones. With static drawdown, your maximum loss limit is set based on your starting balance and never changes—no matter how much profit you make.

Here's the key difference:

• Static drawdown: Fixed at starting balance. Start with $100K and 10% drawdown = minimum balance stays at $90K forever, even if you grow to $150K
• Trailing drawdown: Moves up with your equity. Start with $100K, grow to $110K = your minimum now becomes $100K. You can lose the account while still being profitable overall

Static drawdown is considered the most trader-friendly system because it provides predictability. Once you understand your loss limit, you can focus entirely on execution rather than monitoring shifting thresholds.

Why Trailing Drawdown Causes Traders to Fail

Understanding why many traders specifically search for a prop firm no trailing drawdown option helps explain the frustration with trailing rules.

The Profitable Trade Trap

Markets move in waves. Your winning trade shows $3,000 unrealized profit, then retraces $2,500 before hitting your target. With trailing drawdown, that retracement can violate your limit—even though the trade was correct and profitable.

As one prop firm explains: "With intraday trailing drawdown, firms are allowed to fail you even though you're up in your trade. Your maximum loss limit trails your highest unrealized profit. Dip below it—even for a second—and your account is closed."

Psychological Pressure

Trailing drawdown creates perverse incentives. Every winning trade actually makes your situation more precarious by tightening your constraints. This leads traders to:

• Close profitable trades too early
• Take smaller positions than their strategy requires
• Avoid trading after profitable periods
• Make emotional decisions based on drawdown fear rather than market analysis

Intraday vs EOD Trailing

If you must use a firm with trailing drawdown, understand the critical difference:

• Intraday trailing: Updates tick-by-tick with unrealized P&L. Most brutal rule—normal trade fluctuations trigger violations
• EOD (End-of-Day) trailing: Only calculates at market close based on realized balance. Significantly more forgiving

EOD trailing results in substantially higher pass rates than intraday trailing because normal trade retracements don't trigger violations.

Best No Trailing Drawdown Prop Firms in 2025

These prop firms offer static drawdown, making them the top choices for traders who want predictable risk parameters.

FTMO

FTMO uses static 5% daily loss and 10% maximum drawdown, both calculated from initial balance. Their rules are considered industry benchmarks for fairness. Established track record since 2015 with reliable payouts.

• Entry: From $155
• Max Capital: $440K
• Profit Split: 80-90%
• Drawdown: Static (balance-based)

TradersYard

TradersYard offers clear, balance-based drawdown rules with no time limits on evaluations. Combined with sub-4-hour payouts (fastest in industry), flexible trading rules allowing news trading and hedging, plus EU regulation from Austria, they're ideal for traders prioritizing both fair rules and fast withdrawals.

• Entry: From €36 ($39)
• Max Capital: $500K
• Profit Split: 80-95%
• Payout Speed: Under 4 hours

FundedNext

FundedNext offers static daily loss limits across challenge plans (3%, 4%, or 5% depending on plan). Their focus on trader-friendly rules has built a strong reputation.

• Entry: From $49
• Max Capital: $300K
• Profit Split: 80-90%
• Drawdown: Static daily loss limit

Futures Prop Firm No Trailing Drawdown Options

For futures traders specifically seeking a futures prop firm no trailing drawdown, these firms stand out:

Elite Trader Funding: Offers static drawdown in all accounts. One-step evaluation with potential to pass in a single day. Payouts can begin in 8 days.

Apex Trader Funding: Their Static Account offers no trailing drawdown with $100K starting capital. Frequent promotional pricing (sometimes 80-90% off).

My Funded Futures: After 5 payouts, traders are upgraded to live accounts with static drawdown.

Static vs Trailing Drawdown Comparison

Feature	Static Drawdown	Trailing Drawdown
Loss Limit	Fixed at starting balance	Moves up with equity highs
After Profits	Same cushion as before	Tighter constraints
Psychology	Predictable, less stressful	Creates profit-fear conflict
Pass Rate	Higher	Lower (especially intraday)
Best For	All trading styles	Very tight stop-loss traders only

How to Evaluate Prop Firm Drawdown Rules

Before choosing any prop firm, clarify these critical questions:

Questions to Ask

1. Is drawdown static or trailing? (Static = fixed from start, Trailing = follows equity)
2. If trailing, is it intraday or EOD? (EOD is significantly more forgiving)
3. Does unrealized P&L count? (Some firms only count closed trades)
4. Do rules change after evaluation? (Some firms have different funded account rules)
5. Is it balance-based or equity-based? (Balance = closed trades only)

Red Flags to Watch

• Firms that advertise "no trailing drawdown" but have other rules that function similarly
• Daily loss limits that trail (effectively creates trailing constraint)
• Rules that change between evaluation and funded phases
• Vague language about "highest equity" or "peak balance"

Frequently Asked Questions

What is a no trailing drawdown prop firm?

A no trailing drawdown prop firm uses static (fixed) drawdown rules. Your maximum loss limit is set at the start based on your initial balance and never changes, regardless of how much profit you accumulate. This is the most trader-friendly drawdown structure.

Why is trailing drawdown bad for traders?

Trailing drawdown punishes profitable trading by tightening your loss limit as your account grows. You can lose your funded account while still being overall profitable if your equity peaks and then retraces past the new, higher drawdown limit. This creates psychological pressure that undermines sound trading decisions.

Which futures prop firms have no trailing drawdown?

Top futures prop firm no trailing drawdown options include Elite Trader Funding (static on all accounts), Apex Trader Funding (specific Static Account option), and My Funded Futures (static after 5 payouts). These firms are specifically designed for futures traders who need predictable risk parameters.

Is EOD trailing drawdown better than intraday?

Yes, significantly. EOD (End-of-Day) trailing only calculates at market close based on your realized balance. Intraday trailing tracks every tick of unrealized P&L and can fail you for normal trade fluctuations. EOD trailing results in much higher pass rates, though static drawdown remains the best option.

Does FTMO have trailing drawdown?

No. FTMO uses static drawdown for both daily loss (5%) and maximum drawdown (10%), calculated from initial account balance. Their balance-based approach is why they're considered one of the most trader-friendly prop firms for drawdown rules.

Can I lose my funded account while profitable with trailing drawdown?

Yes. If your equity peaks at $110,000 (from $100,000 start) and your trailing drawdown is $5,000, your new minimum is $105,000. If your balance drops to $104,000—still $4,000 profitable overall—your account is terminated. This is the core problem with trailing drawdown.

Conclusion

Choosing a no trailing drawdown prop firm significantly improves your probability of success. Static drawdown provides predictable, unchanging constraints that allow you to focus on trading rather than managing artificial limitations. The difference in pass rates and long-term sustainability is substantial.

When evaluating prop firms, prioritize those with static drawdown—or at minimum EOD trailing rather than intraday. Read rules carefully, ask clarifying questions, and understand exactly how drawdown is calculated before committing funds.

For traders seeking static drawdown with flexible rules and fast payouts, TradersYard offers balance-based drawdown alongside no time limits, news trading allowance, and sub-4-hour withdrawals. Their trading rules prioritize fairness, and their Austrian EU regulation provides accountability. Start your evaluation with one of the industry's most trader-friendly prop firms.